AWK vs. AWR: A Head-to-Head Stock Comparison

Updated on July 7, 2025

Here’s a clear look at AWK and AWR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AWK’s market capitalization of 27.31 billion USD is substantially larger than AWR’s 2.97 billion USD, indicating a significant difference in their market valuations.

With betas of 0.70 for AWK and 0.61 for AWR, both stocks show similar sensitivity to overall market movements.

Symbol	AWK	AWR
Company Name	American Water Works Company, Inc.	American States Water Company
Country	US	US
Sector	Utilities	Utilities
Industry	Regulated Water	Regulated Water
CEO	John C. Griffith	Robert J. Sprowls
Price	140.05 USD	77.16 USD
Market Cap	27.31 billion USD	2.97 billion USD
Beta	0.70	0.61
Exchange	NYSE	NYSE
IPO Date	April 23, 2008	February 21, 1973
ADR	No	No

Historical Performance

This chart compares the performance of AWK and AWR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AWK vs. AWR: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AWK

10.35%

Regulated Water Industry

Max: 10.35%
Q3: 10.08%
Median: 8.98%
Q1: 8.05%
Min: 7.36%

In the upper quartile for the Regulated Water industry, AWK’s Return on Equity of 10.35% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AWR

13.70%

Regulated Water Industry

Max: 10.35%
Q3: 10.08%
Median: 8.98%
Q1: 8.05%
Min: 7.36%

AWR’s Return on Equity of 13.70% is exceptionally high, placing it well beyond the typical range for the Regulated Water industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

AWK vs. AWR: A comparison of their ROE against the Regulated Water industry benchmark.

Return on Invested Capital

AWK

4.28%

Regulated Water Industry

Max: 6.92%
Q3: 6.34%
Median: 4.28%
Q1: 3.77%
Min: 2.54%

AWK’s Return on Invested Capital of 4.28% is in line with the norm for the Regulated Water industry, reflecting a standard level of efficiency in generating profits from its capital base.

AWR

6.36%

Regulated Water Industry

Max: 6.92%
Q3: 6.34%
Median: 4.28%
Q1: 3.77%
Min: 2.54%

In the upper quartile for the Regulated Water industry, AWR’s Return on Invested Capital of 6.36% signifies a highly effective use of its capital to generate profits when compared to its peers.

AWK vs. AWR: A comparison of their ROIC against the Regulated Water industry benchmark.

Net Profit Margin

AWK

22.24%

Regulated Water Industry

Max: 27.17%
Q3: 24.08%
Median: 20.75%
Q1: 16.72%
Min: 6.15%

AWK’s Net Profit Margin of 22.24% is aligned with the median group of its peers in the Regulated Water industry. This indicates its ability to convert revenue into profit is typical for the sector.

AWR

20.22%

Regulated Water Industry

Max: 27.17%
Q3: 24.08%
Median: 20.75%
Q1: 16.72%
Min: 6.15%

AWR’s Net Profit Margin of 20.22% is aligned with the median group of its peers in the Regulated Water industry. This indicates its ability to convert revenue into profit is typical for the sector.

AWK vs. AWR: A comparison of their Net Profit Margin against the Regulated Water industry benchmark.

Operating Profit Margin

AWK

36.59%

Regulated Water Industry

Max: 42.87%
Q3: 36.84%
Median: 28.06%
Q1: 23.46%
Min: 12.18%

AWK’s Operating Profit Margin of 36.59% is around the midpoint for the Regulated Water industry, indicating that its efficiency in managing core business operations is typical for the sector.

AWR

31.41%

Regulated Water Industry

Max: 42.87%
Q3: 36.84%
Median: 28.06%
Q1: 23.46%
Min: 12.18%

AWR’s Operating Profit Margin of 31.41% is around the midpoint for the Regulated Water industry, indicating that its efficiency in managing core business operations is typical for the sector.

AWK vs. AWR: A comparison of their Operating Margin against the Regulated Water industry benchmark.

Profitability at a Glance

Symbol	AWK	AWR
Return on Equity (TTM)	10.35%	13.70%
Return on Assets (TTM)	3.23%	4.83%
Return on Invested Capital (TTM)	4.28%	6.36%
Net Profit Margin (TTM)	22.24%	20.22%
Operating Profit Margin (TTM)	36.59%	31.41%
Gross Profit Margin (TTM)	56.18%	69.36%

Financial Strength

Current Ratio

AWK

0.49

Regulated Water Industry

Max: 0.98
Q3: 0.94
Median: 0.81
Q1: 0.59
Min: 0.46

AWK’s Current Ratio of 0.49 falls into the lower quartile for the Regulated Water industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AWR

0.81

Regulated Water Industry

Max: 0.98
Q3: 0.94
Median: 0.81
Q1: 0.59
Min: 0.46

AWR’s Current Ratio of 0.81 aligns with the median group of the Regulated Water industry, indicating that its short-term liquidity is in line with its sector peers.

AWK vs. AWR: A comparison of their Current Ratio against the Regulated Water industry benchmark.

Debt-to-Equity Ratio

AWK

1.38

Regulated Water Industry

Max: 1.38
Q3: 1.15
Median: 0.90
Q1: 0.77
Min: 0.68

AWK’s leverage is in the upper quartile of the Regulated Water industry, with a Debt-to-Equity Ratio of 1.38. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

AWR

0.99

Regulated Water Industry

Max: 1.38
Q3: 1.15
Median: 0.90
Q1: 0.77
Min: 0.68

AWR’s Debt-to-Equity Ratio of 0.99 is typical for the Regulated Water industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AWK vs. AWR: A comparison of their D/E Ratio against the Regulated Water industry benchmark.

Interest Coverage Ratio

AWK

3.24

Regulated Water Industry

Max: 4.22
Q3: 4.04
Median: 3.07
Q1: 3.00
Min: 2.48

AWK’s Interest Coverage Ratio of 3.24 is positioned comfortably within the norm for the Regulated Water industry, indicating a standard and healthy capacity to cover its interest payments.

AWR

3.85

Regulated Water Industry

Max: 4.22
Q3: 4.04
Median: 3.07
Q1: 3.00
Min: 2.48

AWR’s Interest Coverage Ratio of 3.85 is positioned comfortably within the norm for the Regulated Water industry, indicating a standard and healthy capacity to cover its interest payments.

AWK vs. AWR: A comparison of their Interest Coverage against the Regulated Water industry benchmark.

Financial Strength at a Glance

Symbol	AWK	AWR
Current Ratio (TTM)	0.49	0.81
Quick Ratio (TTM)	0.44	0.76
Debt-to-Equity Ratio (TTM)	1.38	0.99
Debt-to-Asset Ratio (TTM)	0.44	0.37
Net Debt-to-EBITDA Ratio (TTM)	5.31	3.83
Interest Coverage Ratio (TTM)	3.24	3.85

Growth

The following charts compare key year-over-year (YoY) growth metrics for AWK and AWR. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AWK vs. AWR: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AWK vs. AWR: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AWK vs. AWR: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AWK

2.23%

Regulated Water Industry

Max: 3.58%
Q3: 2.94%
Median: 2.44%
Q1: 2.07%
Min: 0.81%

AWK’s Dividend Yield of 2.23% is consistent with its peers in the Regulated Water industry, providing a dividend return that is standard for its sector.

AWR

2.41%

Regulated Water Industry

Max: 3.58%
Q3: 2.94%
Median: 2.44%
Q1: 2.07%
Min: 0.81%

AWR’s Dividend Yield of 2.41% is consistent with its peers in the Regulated Water industry, providing a dividend return that is standard for its sector.

AWK vs. AWR: A comparison of their Dividend Yield against the Regulated Water industry benchmark.

Dividend Payout Ratio

AWK

55.65%

Regulated Water Industry

Max: 99.35%
Q3: 57.39%
Median: 55.65%
Q1: 52.94%
Min: 0.00%

AWK’s Dividend Payout Ratio of 55.65% is within the typical range for the Regulated Water industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AWR

56.01%

Regulated Water Industry

Max: 99.35%
Q3: 57.39%
Median: 55.65%
Q1: 52.94%
Min: 0.00%

AWR’s Dividend Payout Ratio of 56.01% is within the typical range for the Regulated Water industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AWK vs. AWR: A comparison of their Payout Ratio against the Regulated Water industry benchmark.

Dividend at a Glance

Symbol	AWK	AWR
Dividend Yield (TTM)	2.23%	2.41%
Dividend Payout Ratio (TTM)	55.65%	56.01%

Valuation

Price-to-Earnings Ratio

AWK

25.50

Regulated Water Industry

Max: 26.42
Q3: 23.54
Median: 20.16
Q1: 17.14
Min: 8.21

A P/E Ratio of 25.50 places AWK in the upper quartile for the Regulated Water industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AWR

24.00

Regulated Water Industry

Max: 26.42
Q3: 23.54
Median: 20.16
Q1: 17.14
Min: 8.21

A P/E Ratio of 24.00 places AWR in the upper quartile for the Regulated Water industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AWK vs. AWR: A comparison of their P/E Ratio against the Regulated Water industry benchmark.

Forward P/E to Growth Ratio

AWK

3.73

Regulated Water Industry

Max: 3.77
Q3: 3.33
Median: 2.11
Q1: 1.48
Min: 0.23

A Forward PEG Ratio of 3.73 places AWK in the upper quartile for the Regulated Water industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

AWR

3.80

Regulated Water Industry

Max: 3.77
Q3: 3.33
Median: 2.11
Q1: 1.48
Min: 0.23

AWR’s Forward PEG Ratio of 3.80 is exceptionally high for the Regulated Water industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

AWK vs. AWR: A comparison of their Forward PEG Ratio against the Regulated Water industry benchmark.

Price-to-Sales Ratio

AWK

5.67

Regulated Water Industry

Max: 6.05
Q3: 4.92
Median: 3.71
Q1: 2.93
Min: 2.18

AWK’s P/S Ratio of 5.67 is in the upper echelon for the Regulated Water industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

AWR

4.89

Regulated Water Industry

Max: 6.05
Q3: 4.92
Median: 3.71
Q1: 2.93
Min: 2.18

AWR’s P/S Ratio of 4.89 aligns with the market consensus for the Regulated Water industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AWK vs. AWR: A comparison of their P/S Ratio against the Regulated Water industry benchmark.

Price-to-Book Ratio

AWK

2.59

Regulated Water Industry

Max: 3.06
Q3: 2.19
Median: 1.97
Q1: 1.62
Min: 1.25

AWK’s P/B Ratio of 2.59 is in the upper tier for the Regulated Water industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

AWR

3.09

Regulated Water Industry

Max: 3.06
Q3: 2.19
Median: 1.97
Q1: 1.62
Min: 1.25

At 3.09, AWR’s P/B Ratio is at an extreme premium to the Regulated Water industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AWK vs. AWR: A comparison of their P/B Ratio against the Regulated Water industry benchmark.

Valuation at a Glance

Symbol	AWK	AWR
Price-to-Earnings Ratio (P/E, TTM)	25.50	24.00
Forward PEG Ratio (TTM)	3.73	3.80
Price-to-Sales Ratio (P/S, TTM)	5.67	4.89
Price-to-Book Ratio (P/B, TTM)	2.59	3.09
Price-to-Free Cash Flow Ratio (P/FCF, TTM)	-31.04	-55.03
EV-to-EBITDA (TTM)	15.39	16.11
EV-to-Sales (TTM)	8.66	6.41